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Shake's Frozen Custard

SHAKE'S FROZEN CUSTARD is where friends gather, couples fall in love, and people of all ages come to enjoy the vibrant nostalgic atmosphere of the 50's. Featuring an extensive menu consisting of our one-of-a-kind, delicious frozen custard and a wide variety of innovative concepts, SHAKE'S is a rapidly growing franchise system. With intensive training and continuous support, we will always ensure your business is operating to its maximum potential.

Franchisor Background

Year Established:

1991

Franchising Since:

1999

Operating Units:
Franchised Units:	42	100%
Company-Owned Units:	0	0%
	______	_____
Total Operating Units:	42	100%

Geographic Distribution:
U.S.:	42	100%	In 8 States
Canada:	0	0%	In 0 Canadian Provinces
International:	0	0%	In 0 Foreign Countries
	______	_____
Total:	42	100%

North America:
States/Provinces with the largest number of operating units:
Density	Units
1. Arkansas	12
2. Missouri	8
3. Texas	7

Registered in Following Registration States:

Florida, Illinois, Indiana, Virginia, Wisconsin

Financial Requirements

Investment:
Minimum Net Worth:	$250K
Cash Investment:	$50-250K
Total Investment:	$166-800K
Average Total Investment:	$185K

Fees:
Initial Franchise Fee:	$30K
Average Franchise Fee:	$30K
On-Going Royalty:	5%
Average Royalty:	5%
Advertising Fee:	3%

Average Number of Employees:

3 Full-time, 12 Part-time

Space Needs (in square footage):

N/A

Preferred Sites:

Free-standing Building

Other Sites:

Encourage Conversions?

Earnings Claims Provided?

Yes

Listed in the SBA Registry?

Support and Training

International Franchise Association:	No
Canadian Franchise Association:	No
Franchisee Association/Member:	Yes, Member
Size of Corporate Staff:	10
Site Selection Assistance?	Yes
Lease Negotiation Assistance?	Yes
Financial Assistance?	Yes, Direct

Marketing Support:
Co-Op Advertising:	No
National Advertising:	No
Regional Advertising:	No
Local Advertising:	No
Marketing Materials:	None Specified
Additional Services:	None Specified
Other Marketing Support:	None Specified

On-Going Support:
Central Data Processing:	Included in Fees
Central Purchasing:	Included in Fees
Field Operation Evaluation:	Included in Fees
Field Training:	Included in Fees
Initial Store Opening:	Included in Fees
Inventory Control:	Included in Fees
Franchisee Newsletter:	Included in Fees
Regional or National Meetings:	At Additional Cost
800 Telephone Hotline:	Not Applicable

Training:
1. Fayetteville, AR	2 Weeks

Franchisee Qualifications

Ranked from 1 (unimportant) to 5 (important):

Financial Net Worth:	4
General Business Experience:	4
Specific Industry Experience:	2
Formal Education:	1
Psychological Profile:	3
Personal Interview(s):	5

Minority Representation

Units Owned by Minorities:
African-American:	N/A
Asian-American:	N/A
Hispanic:	N/A
Native American:	N/A
Other:	N/A
Specific Minority:	Although we strongly support the objectives of the NMFI, we do not yet have any specific programs in place at this time.

Terms of Contract

Term of Initial Contract:	15 Year(s)
Term of Renewal Period:	5 Year(s)
Passive Ownership:	Allowed, But Discouraged
Area Development Agreements?	Yes, for 1 Year(s)
Sub-Franchising Contracts?	No
Franchisees Allowed to Expand Within Territory?	Yes

Expansion Plans

Projected New Units Over Next 12 months:

U.S.:	Yes, South, SE, SW, Midwest
Canada:	No
Overseas:	No

Franchisor Background

Year Established:

Franchising Since:

Operating Units:

Geographic Distribution:

North America: